The CoreLogic RP Data monthly index shows values rose 0.2 per cent last month, building on a 2.7 per cent increase in January. Values are up 4.5 per cent for the three months since December. Melbourne notched the strongest quarterly growth of the nation’s capital cities. The median sale price during the quarter was $515,000. The figures show a slight improvement in annual growth, up to 7.4 per cent from 7 per cent in January.

CoreLogic RP Data head of research Tim Lawless said the impact of lower interest rates was already evident in surging auction clearance rates. Melbourne notched a 76.5 per cent clearance rate from a bumper 1539 auctions last week, according to preliminary figures. Mr Lawless predicted the boost to the housing market could be smaller than in the past. “Weaker jobs growth, higher unemployment, declining affordability, low rental yields and political uncertainty are all factors that could dent consumer confidence,” he said.